Buettner, Thiess; Overesch, Michael; Schreiber, Ulrich; … - CESifo GmbH <München> - 2006
This paper analyzes the impact of taxes and lending conditions on the financial structure ofmultinationals' foreign … affiliates. The empirical analysis employs a large panel of affiliates ofGerman multinationals in 26 countries in the period from … 1996 until 2003. In accordance withthe theoretical predictions, the effect of local taxes on leverage is positive for both …